"Venture capital firms poured hundreds of millions of dollars into fashion resale in 2015; total funding over the past five years has blown past the $400 million mark. In January, online consignment shop Tradesy raised $30 million. By the end of April, vintage luxury reseller RealReal had raised $40 million and social commerce site Poshmark had taken in $25 million. European resale shop Vestiaire Collective scored a $37 million round in September. Then came Goldman's monster round for ThredUp, perhaps the most mainstream of the bunch.
'It's a category that's very much winner-take-all,' said Reinhart. "VCs know that if they pick the winner, it'll have a long-term sustainable advantage."
Bloomberg writer Kim Bhasin predicts "it will probably all come down to how well each company carries out its strategy, since the combatants aren't attempting a fundamentally new business model, but tweaking proven methods such as consignment stores and peer-to-peer marketplaces."
Read the full article here.